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    farihahsafiyyah
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    The document contains sales volume and price data for items A through E, with E seeing a 131.25% increase. It then shows NPV calculations for three alternatives, with the third alternative having the highest NPV of $3925.23. It analyzes replacing an asset within 1 year, with an NPV of -$18181.82 due to high initial investment and one year scrap value not offsetting costs.

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    The document contains sales volume and price data for items A through E, with E seeing a 131.25% increase. It then shows NPV calculations for three alternatives, with the third alternative having the highest NPV of $3925.23. It analyzes replacing an asset within 1 year, with an NPV of -$18181.82 due to high initial investment and one year scrap value not offsetting costs.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    9 views1 page

    Revision

    Uploaded by

    farihahsafiyyah
    The document contains sales volume and price data for items A through E, with E seeing a 131.25% increase. It then shows NPV calculations for three alternatives, with the third alternative having the highest NPV of $3925.23. It analyzes replacing an asset within 1 year, with an NPV of -$18181.82 due to high initial investment and one year scrap value not offsetting costs.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    of 1

    a 14.

    63%
    b 12.76%
    c 8.84%
    d 28.72%
    e 131.25%

    Sales volume 0.28828033


    Selling price 0.08605837

    NPV 979

    1 2 3
    1066 1422 908
    0.93457944 0.873439 0.816298
    996.261682 1242.03 741.1985 2979.49
    0.32858

    1 2 3
    3318 3871 4187
    0.93457944 0.873439 0.816298
    3100.93458 3381.081 3417.839 9899.855
    0.09889
    3925.23364

    Replace within 1 Year

    EAC NPV (W1) 18181.82


    AF 0.909091
    20000 to hold asset for 1 year

    Year 0 1
    Running cost -7500
    Initial Investment -25000
    Scrap Value 15000
    NCF -25000 7500
    DCF@10% 1 0.909091
    PV -25000 6818.182
    NPV -18181.818

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